The head of Wilkinsburg’s redevelopment authority tells WTAE her arrest was all about politics.

The head of Wilkinsburg’s redevelopment authority tells WTAE her arrest was all about politics.

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Updated: 5:59 PM EDT Jul 3, 2014

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WEBVTT AND ONCE THE MAYOR STEPS UP TO THE PODIUM AND GRABS THE MIC, WE'LL DIAL HIM IN LIVE FOR YOU. MEANTIME HER JOB WAS TO BEAUTIFY WILKINSBURG, SO WHY WAS SHE ARRESTED AND THEN CLEARED OF HER CHARGES? KATE LUXEMBOURG SAYS IT WAS ALL ABOUT POLITICS AND NOW SHE HAS WON A SIX-FIGURE SETTLEMENT. SHE TELLS HER STORY TONIGHT ONLY TO PAUL VAN OSDOL. Reporter: WENDY LUXEMBOURG IS A 68-YEAR-OLD GRANDMOTHER. THREE YEARS AGO SHE WAS HANDCUFFED AND THROWN IN JAIL OVER WHAT SHE CALLS TRUMPED-UP CHARGES PURSUED BY POLITICAL OPPONENTS. THIS IS ONE OF ABOUT 800 ABANDONED PROPERTIES IN WILKINSBURG, AND KATE LUCXEMBOURG IS PASSIONATE ABOUT CLEANING IT UP. IT SHOULD BE DEMOLISHED OR REHAND. IT SHOULD NOT SIT FOR YEARS AND YEARS. Reporter: SHE SAID THAT PASSION BROUGHT HER IN CONFLICT WITH WILKINSBURG BOROUGH COUNCIL WHICH WANTED TO KEEP CONTROL OF THE PROPERTIES. THE REDEVELOPMENT AUTHORITY HEADED BY LUXEMBOURG GOT A BIG GRANT. WITHIN DAYS OF THE GRANT ANNOUNCEMENT, WILKINSBURG POLICE CHARGED HER WITH RUNNING A BURGLARY RING. STEALING ITEMS FROM THIS HOUSE AND OTHERS. I OPENED THE DOOR AND THERE WERE THREE POLICE OFFICERS AND SAID WE'RE HERE TO ARREST YOU. I WAS SHOCKED. FOR WHAT? Reporter: POLICE HELD A NEWS CONFERENCE AND HER GRANDCHILDREN SAW HER PICTURE ON TELEVISION. ONE GRANDDAUGHTER SAID TO ME, THEY'RE MAKING YOU LOOK LIKE A BAD PERSON, GRANDMA. I THINK ABOUT THAT ALL THE TIME. Reporter: THE CHARGES WERE EVENTUALLY DROPPED AND LUXEMBOURG FILED A LAWSUIT AGAINST THE BOROUGH AND POLICE OFFICIALS, INCLUDING THE CHIEF. SHE ALLEGED FALSE IMPRISONMENT, MALICIOUS PROSECUTION AND CIVIL RIGHTS VIOLATIONS. WHY DO YOU THINK YOU WERE ARRESTED? FOR POLITICAL REASONS. THERE'S -- TO ME THERE'S NO DOUBT ABOUT IT, BUT I CAN'T PROVE IT. Reporter: HER SUSPICIONS GREW AFTER THIS DEPOSITION WITH THE ARRESTING OFFICER, SERGEANT CHARLES KNOX. HE TESTIFIED UNDER OATH THAT CHIEF COLEMAN ORDERED HIM TO ARREST LUXEMBOURG. KNOX TESTIFIED THAT HE DID NOT WANT TO BE PART OF THE WHOLE THING AND HE DID NOT THINK IT WAS RIGHT. IN HER DEPOSITION, COLEMAN TESTIFIED THAT SHE DID NOT TELL KNOX TO MAKE THE ARREST AND SHE DID NOT EVEN KNOW LUXEMBOURG'S POSITION WITH THE BOROUGH. LUXEMBOURG HOPES HER CASE SENDS A MESSAGE IN WILKINSBURG AND BEYOND. THE POLICE FORCE SHOULD NOT BE USED FOR POLITICAL PURPOSES. Reporter: LUXEMBOURG SETTLED THE LAWSUIT FOR $135,000. NOW, I TRIED TO TALK TO CHIEF COLEMAN AND OTHER BOROUGH OFFICIALS TODAY, BUT NONE OF THEM RETURNED MY CALLS. LUXEMBOURG PLANS TO GO BACK TO

Wilkinsburg official says politics behind arrest

The head of Wilkinsburg’s redevelopment authority tells WTAE her arrest was all about politics.